Boeing Grounds the Dow — Wednesday’s IP Market Recap

by Marc Bastow | January 16, 2013 4:44 pm

[1]Wednesday was role reversal day for the major U.S. indices, with one particular stock giving a helpful nudge to the Nasdaq and the Dow taking a loss. All the while, earnings season kicked into high gear, and concerns over the debt ceiling filtered into investor sentiment.

The Nasdaq improved by 0.22% to 3,117.54, thanks to a 4%-plus gain in beaten-of-late Apple (NASDAQ:AAPL[2]). That also helped the S&P finish with marginal gains to 1,472.63. The Dow ended 0.21% in the red to close at 13,507.01.

Hampering the Dow was Boeing (NYSE:BA[3]), which fell more than 3% as its Dreamliner suffered yet another issue[4]. Two Japanese airlines grounded their fleets of 787 aircraft after one of All Nippon Airways‘ (PINK:ALNPY[5]) Dreamliners was forced into an emergency landing. Boeing’s drop was by far the largest in the Dow on Wednesday.

Goldman Sachs (NYSE:GS[6]) reported earnings that beat expectations[7], driven by strong results from its proprietary trading business. Investors bid up GS stock more than 4%, sending it to highs not reached in more than a year.

JPMorgan Chase (NYSE:JPM[8]) struck another positive note for financials, saying both Q4 and full-year 2012 profit set records, which marks a third consecutive year of record income for the banking giant. JPM also announced that CEO Jamie Dimon’s bonus would be cut to $10 million (more than half of his 2011 haul) in lieu of the “London Whale” debacle. JPM climbed up just under 1% on the news.

Dell (NASDAQ:DELL[9]) fell more than 4% after CNNMoney reported that at least one equity firm, TPG Capital, has walked away from a potential deal[10] to take Dell private. Conversely, Hewlett-Packard (NYSE:HPQ[11]) ran up more than 4% after Dow Jones reported that HPQ has received interest from potential buyers about its Autonomy business unit.